Shanthi Gears Intrinsic Value

SHANTIGEAR • Capital Goods
Current Stock Price
₹443.40
Primary Intrinsic Value
₹145.20
Market Cap
₹354.7 Cr
+13.6% Upside
Median Value
₹503.75
Value Range
₹133 - ₹1109
Assessment
Trading Below Median Value
Safety Margin
12.0%

SHANTIGEAR Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹145.20 ₹116.16 - ₹174.24 -67.3% EPS: ₹12.10, Sector P/E: 12x
Book Value Method asset ₹503.75 ₹453.38 - ₹554.12 +13.6% Book Value/Share: ₹503.75, P/B: 1.0x
Revenue Multiple Method revenue ₹595.00 ₹535.50 - ₹654.50 +34.2% Revenue/Share: ₹743.75, P/S: 0.8x
EBITDA Multiple Method earnings ₹886.80 ₹798.12 - ₹975.48 +100.0% EBITDA: ₹141.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1108.50 ₹886.80 - ₹1330.20 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹193.60 ₹174.24 - ₹212.96 -56.3% EPS Growth: 20.0%, Fair P/E: 16.0x
Growth Adjusted P/E growth ₹133.02 ₹119.72 - ₹146.32 -70.0% Revenue Growth: 14.5%, Adj P/E: 8.6x
ROE Based Valuation profitability ₹886.80 ₹798.12 - ₹975.48 +100.0% ROE: 23.1%, P/E Multiple: 16x
Graham Defensive Method conservative ₹370.33 ₹333.30 - ₹407.36 -16.5% EPS: ₹12.10, BVPS: ₹503.75
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

SHANTIGEAR Intrinsic Value Analysis

What is the intrinsic value of SHANTIGEAR?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Shanthi Gears (SHANTIGEAR) is ₹503.75 (median value). With the current market price of ₹443.40, this represents a +13.6% variance from our estimated fair value.

The valuation range spans from ₹133.02 to ₹1108.50, indicating ₹133.02 - ₹1108.50.

Is SHANTIGEAR undervalued or overvalued?

Based on our multi-method analysis, Shanthi Gears (SHANTIGEAR) appears to be trading below median value by approximately 13.6%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 382.00 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.25 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 23.1% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 21.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 1.18x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹91 Cr ₹72 Cr Positive Free Cash Flow 8/10
March 2024 ₹36 Cr ₹30 Cr Positive Free Cash Flow 8/10
March 2023 ₹63 Cr ₹50 Cr Positive Free Cash Flow 8/10
March 2022 ₹35 Cr ₹27 Cr Positive Free Cash Flow 8/10
March 2021 ₹31 Cr ₹22 Cr Positive Free Cash Flow 8/10